Discount stores successfully targeting middle-class Britain
30 January 2014
The message being pushed by ALDI and LIDL that discount stores are a good place to pick up a bargain on premium brands is resonating with UK shoppers. This attitude, shared by both higher and lower income groups, highlights how discounters' strategy to appeal to middle-class Britain is succeeding.
A new survey by Canadean Custom Solutions finds that 51% of adults aged 18 years and over have been visiting a discount store such as ALDI or LIDL in the last three months.
According to the survey, 54% of consumers believe that the quality of food sold in discount stores is of at least the same quality as that stocked in supermarkets, while 45% believe that the continental offerings served in discount stores offer an added level of appeal and excitement to those offered by the major retailers. Additionally, 64% of consumers believe that stores such as ALDI and LIDL allow shoppers to pick up bargains on premium brands.
Perhaps most importantly for the discount chains, is that the view that premium quality brands are available in discount stores is shared by both middle-to-higher income consumers (classified as ABC1) (64%) and consumers with lower income (classified as C2DE) (65%). This attitude among ABC1 class consumers is particularly important as such chains look to target consumers from middle-to-higher income backgrounds and shake off the association with shoppers who are less affluent.
Michael Hughes, Research Manager at Canadean Custom Solutions explains “these findings show that the attempts by discounters such as ALDI and LIDL to target middle class consumers through advertising campaigns and products stocked in-store are paying dividends. The association with discounters and low quality offerings has long been eroded and middle-to-high class consumers are happy to do their grocery shopping there – irrespective of levels of financial well-being. If discounters continue to expand their grocery ranges, this could prove a significant threat to established retailers in the long-term.”
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This Canadean Custom Solutions survey is based on answers from 2,000 UK-based adults. The survey was conducted in January 2014.